Endorsements

Personally-owned autos belong on a personal auto policy (PAP), but occasionally a commercial insured intentionally or unintentionally includes one or several personally-owned auto(s) on its business auto policy (BAP). Commercial clients may do this for one of many reasons; but when a commercial client intentionally or unintentionally includes a personally-owned auto on the BAP, the agent must ascertain the legitimacy of the vehicle’s inclusion on the BAP. The primary goal of this article is to allow agents to answer the question, “When is the inclusion of a personally-owned auto on the BAP legitimate and proper?”

Lawyers make life interesting for the insurance industry. Often we outsmart them by creating endorsements to satisfy a request that, in effect, really do nothing other than make the lawyers feel good. That’s the effect of these two endorsements.

Commercial insureds may take vehicles out of commission during certain times of the year. Likewise, personal auto insureds might winter in Florida and want to suspend their auto insurance for several months to save money. In this article, we'll discuss the issues involved and offer some caveats to help you avoid E&O claims.

Contractors may have autos like dump trucks and semi-tractors that they want to 'lay up' while the vehicles are not needed during a construction slow-down. One contractor was told he could park the vehicles on their shop premises, turn in the tags, delete them from the auto policy, and they would be covered under the CGL policy.

The issue of 'care, custody and control' in insurance policy exclusions will probably be debated until the end of time. In this article, we'll explore the issue of 'CCC' with regard to auto exposures. Our analysis considers the exclusion in the context of an actual claim and presents some possible alternatives for handling such exposures for 'non-garage' types of businesses via several policy forms and endorsements.

One of the most frequently asked questions about the Business Auto Policy (BAP) is when and why do you use the Individual Named Insured endorsement (CA 99 17) as opposed to the Drive Other Car - Broadened Coverage for Named Individuals (CA 99 10) endorsement. Also, how do these endorsements affect a Personal Umbrella Policy?

From our 'Ask an Expert' file: On a Business Auto Policy (BAP) can you add the owner of the premises you are doing a job for as an additional insured? A contractor is driving his van on premises to do work for a general contractor. His contract states that he must name the general contractor as an additional insured on his BAP. Please advise if this can be done by endorsement and reference the ISO form number. The current carrier advises they cannot find a form to do this.

For coverage, individuals must be named on the Drive Other Car (DOC) endorsement. Is the same true for the Individual Named Insured (INI) endorsement? Does the individual's name or names need to be listed on the actual INI endorsement or is it all right if they are just listed individually as named insureds on the declarations page for the business auto policy?

The insured has had exclusive use of a moving van for over six months. It is in their possession every day and is never returned except for required routine maintenance provided by the owner. The insured pays for the truck on a month-to-month rental basis...there is no long-term lease. How can this be covered under their commercial auto policy?